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On 27 March 2011 the Department for Environment, Food and Rural
Affairs (Defra) laid a report before Parliament on company
reporting of greenhouse gas (GHG) emissions. The report is designed
to meet a requirement of the Climate Change Act 2008.
Current position
Currently GHG reporting is purely voluntary.
Of course, there are arguments both in favour and against
mandatory reporting. The provision in the Climate Change Act 2008
was designed to ensure that due executive consideration be given to
the issue.
Company reporting of GHG emissions
Section 85 of the Climate Change Act 2008 requires the Secretary
of State to either:
before 6th April 2012, make regulations under section 416(4) of
the Companies Act 2006 requiring the directors' report of a
company to contain such information as may be specified in the
regulations about emissions of greenhouse gases from activities for
which the company is responsible, or
lay before Parliament a report explaining why no such
regulations have been made.
The report laid before parliament on 27th March 2012 is directed
at this requirement. The report states that no decision whether to
make regulations has been reached. The reasoning given for
this indecision is that there has been extensive evidence gathered
over the last couple of years and additional time is required to
consider this evidence. Of course a decision will be required at
some time.
This article was written for Law-Now, CMS Cameron
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Law-Now information is for general purposes and guidance
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give professional or legal advice. All Law-Now information relates
to circumstances prevailing at the date of its original publication
and may not have been updated to reflect subsequent
developments.
The original publication date for this article was
28/03/2012.
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